What is social mobility and why does it matter?

While recently compiling a photo montage for my mums 70th birthday I came across a bunch of photos that I had never seen before.

The one in this article really stood out for me as a reminder of how far we have both come.

At the time of this photo being taken we were living in temporary accommodation, I was on the verge of being excluded from school, and my mum was on the verge of a nervous breakdown…managing the stress of raising 6 kids alone with the family home having recently been repossessed and my dad up and leaving. 

As a speaker I talk about the importance of social mobility, and diverse viewpoints when it comes to recruiting talent and supporting innovation…but also the importance of nurturing people from diverse backgrounds within your organisations…but I realise some SME’s might not even think about this or even know why it matters.

Escaping the poverty of my childhood has been a long and winding road for me personally, and as I reflect on my recent 30 years in business anniversary this blog felt like an important one for me to write. 

In today’s rapidly evolving business landscape, social mobility has emerged as a critical concept for companies to understand and embrace. But what exactly is social mobility, and why should business owners and leaders pay attention to it?

Social mobility refers to the ability of individuals to move between different social positions in society, regardless of their starting point. It’s about creating pathways for people to progress based on their talents and efforts rather than being limited by their socioeconomic background. At its core, social mobility represents opportunity, fairness, and the breaking down of barriers that prevent talented individuals from reaching their full potential.

In the UK, social mobility has become a pressing issue. According to the Social Mobility Commission’s State of the Nation 2024 Report, despite some positive trends, around 30% of children in the UK are living in relative poverty, a figure that has been rising since 2012 when my daughter was born. The report also highlights significant geographical disparities in social mobility outcomes across the UK, with young people in London and the Home Counties generally enjoying better social mobility prospects than those in the North East and North West of England.

Embracing social mobility isn’t just the right thing to do—it’s a business imperative. 

When teams include people from varied socioeconomic backgrounds, they bring different life experiences, problem-solving approaches, and perspectives to the table. This diversity of thought is the lifeblood of innovation. Research consistently shows that diverse teams outperform homogeneous ones in creativity and problem-solving. By limiting recruitment and advancement to people from privileged backgrounds, companies inadvertently create echo chambers that stifle creativity and miss opportunities for innovative thinking.

For SMEs looking to disrupt markets or find creative solutions to business challenges, having team members who’ve navigated different life paths and overcome various obstacles provides a competitive edge. They spot gaps in the market that others miss and approach problems with unique insights that can lead to breakthrough innovations.

The UK is facing skills shortages across multiple sectors. By overlooking talented individuals from lower socioeconomic backgrounds, businesses are missing out on a vast pool of potential talent. When recruitment practices prioritize candidates from traditional pathways (elite universities, unpaid internships, or personal connections), companies exclude many bright, capable individuals who haven’t had access to these opportunities. Broadening hiring approaches not only addresses talent gaps but often brings in highly motivated employees with strong work ethics and determination.

Even when individuals from working-class backgrounds successfully enter professional roles, they often encounter what researchers call the “class ceiling.” Research from the UK Labour Force Survey has revealed that professionals from working-class origins earn on average 17% less than colleagues from middle-class backgrounds in the same roles—even when controlling for education, experience, and other factors.

This gap isn’t just about pay. People from working-class backgrounds often face subtler barriers to progression:

  • Lacking the “right” cultural capital (understanding unwritten social codes and norms)
  • Missing out on informal sponsorship opportunities that fast-track careers
  • Feeling pressure to change their accent, mannerisms, or self-presentation
  • Experiencing microaggressions or feeling like an “outsider” in workplace culture
  • Bouncing back from redundancy is often harder too

I didn’t really understand social mobility in my early career, I naevely thought if I worked hard enough I would catch up with my wealthier peers. I was a proactive young person, I made shit happen through grit and determination. Working 2 jobs to pay my way through university, taking on unpaid voluntary work to build experience, nagging my tutors to give me their contacts and insights into how to get paid work after graduating. 

Because I was the first from my family to go to university I never really had anyone I could talk to about career progression, or how to invest my earnings, and although my family were (and are) proud of me, they didn’t understand my drive, or any of the career choices I was taking. I often felt quite isolated from my community, despite working closely within it for many many years. 

I didn’t know I had ADHD either, which is a whole new blog post.

I have been made redundant 5 times across my career, each time knocking me back financially and if I am being honest chipping away at my confidence too. But with little support to fall back on, I’ve always had to pick myself up and try something else. My redundancy in 2012 was the hardest to manage though as I was pregnant with my daughter, and so my career options become more limited, especially when in 2013 I become a single parent. 

Having children impacts all women in their career…but for working class women it hits different. 

My great gran had 18 children, my nan had 8, my mum had 6…I knew that having a second child for me would be career suicide and keep me financially limited. Juggling my career aspirations and the realities of being a solo parent to a neurodiverse child has not been easy over the past 11 years, but I also know it has given me some incredible insight, skills and qualities that have also helped shape my career and my personal brand.

When I wrote my book How NOT to be Broke I reflected on this for the first time, realising just how hard it had been staying solvent and sane in business with all of the challenges that are unique to my set of circumstances, and the toll that takes on your ability to keep bouncing back time and time again. 

It floored me when I read that professionals from working-class backgrounds earn 17% less than colleagues from middle-class backgrounds in the same roles, even with identical qualifications (data from the UK Labour Force Survey.)

But here is the thing…

Embracing social mobility isn’t just about social responsibility—it makes business sense too. Companies with stronger social mobility practices often see:

  • Increased innovation and creativity from diverse perspectives
  • Access to wider talent pools, helping address skills gaps
  • Improved employee engagement and loyalty
  • Better understanding of diverse customer bases
  • Enhanced reputation and brand value

Social mobility matters because talent and potential are distributed equally across society, but opportunity is not. By removing barriers and creating more inclusive workplaces, SMEs can harness the full spectrum of talent available while contributing to a fairer society.

I will be ramping up my thought leadership around these topics because in many ways I have still been reluctant to share my perspectives on this, and know that my unique perspectives can help move things forward in this area. I am also just as determined as I was in that photo to not be defined by where I started in life, and I still have so much I want to achieve through my work. 

The journey toward greater social mobility requires conscious effort and ongoing commitment. But for businesses willing to embrace this challenge, the rewards—in innovation, talent, and social impact—are substantial.

Julie Creffield is an expert on Innovation, Ideas and Entrepreneurship. A business strategist with 30 years of experience, having worked with thousands of clients from large multinationals to micro-businessess and everything in between. From global brands to local leaders helping to make impactful change through thinking differently, and taking inspired action. She is a keynote speaker, author and consultant, and works as an innovation director for Oxford Innovation Space with ambitious SME’s across two sites in Hertfordshire/London where she is based

Grab a FREE copy of my book

At a time when I felt like I was at rock bottom, on the verge of losing everything I had built (yep this happens sometimes) I had the idea to share some of my biggest lessons about reinvention and bouncing back after hardship.

How NOT to be Broke helped me connect to my values of fairness and equity, made me a more vocal advocate for social mobility, and helped me share practical solutions for other entrepreneurs who were struggling.

The book did well during its launch, I released a series of podcast interviews on my top 5% podcast about money mindset and making money in your mission led business…and ultimately it helped me build back my revenue and my reputation. 

To celebrate my 30 years in business I am making it available along with a bunch of useful tools and resources for FREE.